NEW YORK--(BUSINESS WIRE)--Social media vent sessions may give the impression that the state of
customer service is suffering. Not so fast, according to the 2017 Customer
Service Barometer. The study, fielded by American Express
(NYSE: AXP), shows U.S. consumers are happier than ever with the service
companies provide.

Eight in 10 Americans (81%) report that businesses are meeting or
exceeding their expectations for service, compared to 67 percent in
2014. In fact, 40 percent of consumers say businesses have increased
their focus and attention on service, a significant increase in just
three years (up from 29% in 2014).

“More companies are realizing that delivering great care is not just the
right thing to do; it also makes great business sense. Seven in 10 U.S.
consumers say they’ve spent more money to do business with a company
that delivers great service,” said Raymond Joabar, Executive Vice
President of American Express’ servicing organization. “Service is an
increasingly important competitive advantage for companies, both large
and small, that make doing business easy and put their customers’ needs
first.”

Digital servicing options are helping to drive this uptick in servicing
satisfaction, as is improved person-to-person care. More than two thirds
of those surveyed (68%) said that a pleasant representative was key to
their recent positive service experiences, and 62 percent said that a
representative’s knowledge or resourcefulness was key.

Americans continue to reward companies that get service right. US
consumers say they’re willing to spend 17 percent more to do business
with companies that deliver excellent service, up from 14 percent in
2014. As a group, Millennials are willing to spend the most for great
care (21% additional), followed by men (19%).

But there’s another side to that coin, too: poor service is costing
companies. More than half of Americans have scrapped a planned purchase
or transaction because of bad service, and 33 percent say they’ll
consider switching companies after just a single instance of poor
service. The stakes remain high for getting service right.

Millennials Share the “Likes”Millennials are particularly
happy with the service they’re receiving from businesses. Eighty-four
percent say that businesses are meeting or exceeding their service
expectations, significantly more than older Americans (79%).

Millennials are also the only generation that tells more friends and
family about instances of good service than bad ones, bucking an
established trend in how Americans talk about service. As in previous
years, Americans across the board report telling more people about poor
service (15 people on average) than about good experiences (11).
Millennials, though, tell an average of 17 people when they get great
care, compared to the 15 they tell about poor experiences.

Men are especially chatty when it comes to service, telling twice as
many people as women both about their poor experiences (21 compared to
10) and good ones (15 compared to 7).

How May I Help You?There is a growing preference for
self-service and digital options on simpler inquiries, specifically for
online chat and mobile apps.

More than six in 10 U.S. consumers say that their go-to channel for
simple inquiries is a digital self-serve tool such as a website (24%),
mobile app (14%), voice response system (13%) or online chat (12%). But,
as the complexity of the issue increases, such as with payment disputes
or complaints, customers are more likely to seek out a face-to-face
interaction (23%) or a real person on the phone (40%).

More people than ever are also using social media to get help from
businesses. In the past year, 35 percent reported reaching out in social
channels, up significantly from the 2014 survey (23%) and double the
percentage from 2012 (17%). Of those who have used social media for a
customer service concern, 84 percent say they have received a response
or resolution, up significantly from 65% in 2014.

Deliver service on the customer’s timeline. As companies
improve the service they provide, customers want them to focus on
taking care of their needs quickly (40%). The future of service
belongs to those who deliver quick, convenient and personalized
service in the customer’s channel of choice. This could mean enabling
customers to find answers themselves through digital options as well
as making it easier to connect with a knowledgeable professional.

Earn the advocacy of customers. Excellent service continues to
be a way for businesses to unleash positive word of mouth. This is
especially true for Millennials, so companies should make sure they
can take care of younger Americans the way they want to be served. For
example, Millennials are twice as likely as the general population to
prefer self-service for simple inquiries.

Make the connection. While most Americans still prioritize
service that gets the job done, the personal connection matters.
Eighty-one percent say that getting a satisfactory answer is a very
important part of servicing satisfaction, and 74 percent want a
knowledgeable professional. But nearly half also say that personalized
service (47%) and appreciation for them as a customer (45%) are very
important in providing excellent care.

About the American Express Customer Service BarometerThe
American Express® Global Customer Service Barometer is a
study conducted by American Express and Ebiquity,
exploring customer attitudes and preferences around customer service.
Research was completed online among a random sample of 1,000 U.S.
consumers aged 18+. Interviews were conducted by Ebiquity, a team of
independent marketing performance specialists. The overall results have
a margin of error of +/- 3.1 percentage points at the 95% confidence
level. The same survey methodology was used in Canada, Mexico, the U.K.,
Italy, India, Singapore, Hong Kong and Japan.